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Question 895197: Very simple one here, but I'm just an adult who was never taught math, thanks for your valuable time helping answer a real life question I've already committed myself to.... I've borrowed $1700 from my sister and she's making me pay back 2000, so I just want to know at what interest rate or percentage or whatever she's getting me for cuz she knows I can't do math....I mean, I think she's being reasonable, she is my sister but she has been known to take advantage before, & I really needed the money to move across the state for work so I had to do it, but I just need to know for my own sanity. Thanks for your help, it's very humbling admitting I can't do math. :-D
Found 2 solutions by JulietG, richwmiller:
Answer by JulietG(1812)   (Show Source):
You can put this solution on YOUR website! How long until you have to pay it back? That determines the interest rate. Let's assume it's one year.
2000 = 1700x
Divide each side by 1700
2000/1700 = x
x = 1.176
The principal is 1; the interest is 17.6%
If you have to pay it back in 6 months, the rate would be 35.1%. If you have two years, then 8.8% (I'm simplifying it, but in the general area...)
That's pretty high. You could get almost as good a rate from a loan shark.
Answer by richwmiller(17219)  (Show Source):
You can put this solution on YOUR website! An easier way to figure it out would be
You are paying 2000-1700=300 in interest
10% would be take off a zero from 1700 which is $170
1700 take off a zero $170
20% would be double that 2*170=340
You are paying $300 in interest
You are paying almost 20%
It is not exact but easier to do.
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